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Paylocity vs Gusto

The short answer

Paylocity is a payroll, HR, time, benefits and finance suite for small businesses to enterprises, sold by quote with nonrefundable implementation fees. Gusto is payroll, benefits and HR for small businesses, from $49 a month plus $6 per person, month to month and with no setup fee.

By LeadChange Research TeamUpdated Facts checked
Best for
US employers wanting payroll, HR, time, benefits and finance from one vendor

Choose Paylocity if

  • You have an HR team and want payroll, time, talent and benefits in one suite.
  • You want 30+ payroll audits with automatic alerts.
  • You pay employees in other countries (100+).
  • Your security review asks for SOC 2 Type II and ISO 27001.
Starting price
$49/mo + $6/employee/mo
Best for
US small businesses that want payroll tax filing on every plan

Choose Gusto if

  • You want the price up front: $49 a month plus $6 per person.
  • You want no setup fee and no contract.
  • You want health, 401(k) and HSA benefits in the payroll account.
  • You run extra payrolls: unlimited runs on every plan.

LeadChange Score: editorial assessment based on public information.

Scorecard

Paylocity wins 2Gusto wins 12 ties

Paylocity vs Gusto by dimension
DimensionPaylocityGusto
PricingGusto lists Simple at $49 a month plus $6 per person, with no setup fee. Paylocity quotes a base fee plus per-employee fees and charges implementation fees, W-2 preparation and time clocks separately. NoneQuote only$49/mo + $6/employee/mo
CapabilitiesBoth run payroll with tax filing and cover HR, time and benefits. Paylocity adds talent management, global payroll, expense management and corporate cards; Gusto adds contractor payments and money management in the same plans. Payroll, Global Payroll, Human Resources, Time & Labor, Talent Management, Benefits, Employee Experience, Expense Management, Corporate Cards, AP Automation, Guided Procurement, Headcount Planning, Asset Management, Access Management & Identity11 of 12 core capabilities11 of 12 core capabilities
IntegrationsPaylocity lists 435 integrations, with an OAuth2 API and webhooks. Gusto lists 153, with a REST API and webhooks. 435435 native153 native
Fit and supportPaylocity serves small businesses to enterprises, with support Monday to Friday, 6:00 a.m. to 7:30 p.m. Central Time. Gusto serves small businesses, with support Monday to Friday, 6am to 6pm MST. Small businesses, mid-market companies, enterprisesSmall businesses, mid-market companies, enterprisesSmall businesses
SecurityPaylocity states SOC 2 Type II and ISO 27001. Gusto states HIPAA compliance. YesSOC 2, ISO 27001None verified

Key differences

Where Paylocity and Gusto differ (9)
AttributePaylocityGusto
Price transparencyQuote onlyPublished
Contract termCustomMonthly
Best forSmall businesses, mid-market companies, enterprisesSmall businesses
Mobile appsiOS, Android, Apple WatchiOS (Gusto Mobile), Android (Gusto Mobile)
Native integrations435153
Support channelsPhone, Email, PEAK Knowledge Base (in-product)Phone, email, chat, online help center, dedicated account partner (Premium)
Founded19972012
HeadquartersSchaumburg, Illinois, USSan Francisco, California, US
OwnershipPublicly tradedPrivate
Show 6 attributes where they are the same
Where they are the same (6)
AttributePaylocityGusto
Pricing modelBase fee + per employeeBase fee + per employee
DeploymentCloudCloud
Open API
Webhooks
Single sign-onSAML (SP- and IdP-initiated)
Automatic tax filing

Analysis by dimension

Pricing. Gusto lists Simple at $49 a month plus $6 per person, with no setup fee. Paylocity quotes a base fee plus per-employee fees and charges implementation fees, W-2 preparation and time clocks separately.

Capabilities. Both run payroll with tax filing and cover HR, time and benefits. Paylocity adds talent management, global payroll, expense management and corporate cards; Gusto adds contractor payments and money management in the same plans.

Integrations. Paylocity lists 435 integrations, with an OAuth2 API and webhooks. Gusto lists 153, with a REST API and webhooks.

Fit and support. Paylocity serves small businesses to enterprises, with support Monday to Friday, 6:00 a.m. to 7:30 p.m. Central Time. Gusto serves small businesses, with support Monday to Friday, 6am to 6pm MST.

Security. Paylocity states SOC 2 Type II and ISO 27001. Gusto states HIPAA compliance.

Neither one?

Patriot Payroll

Patriot Payroll has the highest LeadChange Score in Payroll Software after excluding these two (9.3/10).

From $17/mo + $4/employee/mo

Frequently asked questions

What are the downsides of Paylocity compared with Gusto?

Paylocity is less suited to buyers who want a price before a demo: it publishes no prices or plans, and its implementation fees are nonrefundable. W-2 preparation, time clocks and each extra module add to the recurring fee. Gusto lists its three plans and charges no setup fee.

How much does Paylocity cost per month compared with Gusto?

Paylocity does not publish a monthly price: per its 10-K, it charges a base fee plus per-employee fees that depend on headcount and the products used. Gusto publishes three plans: $49 plus $6, $80 plus $12 and $180 plus $22 per person a month.

Is Paylocity better than Gusto for a growing company?

Paylocity serves companies from small businesses to enterprises and adds talent management, global payroll and finance tools as needs grow. Gusto is built for small businesses; its Premium plan adds HR guidance, compliance tools and premium account support.

Can employees get paid early with Paylocity or Gusto?

Paylocity’s On Demand Payment lets employees draw earned wages, with same-day funds for requests made by 2 PM CT. Gusto includes next-day pay on Plus and Premium, and same-day and instant pay on Premium.

How do Paylocity and Gusto check payroll before it runs?

Paylocity explains payroll variances in plain language before you submit, and its Ignite AI agents cover pay, time and recruiting. Gusto runs Payroll on AutoPilot and syncs time tracking to payroll.

Do Paylocity and Gusto have mobile apps?

Paylocity has iOS, Android and Apple Watch apps, with location-based clock-in. Gusto Mobile runs on iOS and Android.

Which has more integrations, Paylocity or Gusto?

Paylocity lists 435 integrations and Gusto lists 153.

Is Paylocity or Gusto more secure?

Only Paylocity states SOC 2 Type II and ISO 27001. Only Gusto states HIPAA (BAA).

Paylocity or Gusto? Your answer in 3 questions

Your team size, what matters most and your role: see which one fits more of your answers, from verified facts and list prices. Then, if you like, ask to hear from both.

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What the LeadChange Score means

A 0–10 editorial assessment built only from verified facts, across six weighted dimensions: capabilities, pricing, integrations, security, fit and support, and data confidence.

Payments, commissions and lead fees are never inputs.